A large swathe of acreage offshore northern Mozambique is to be explored by a recently-formed exploration company created by the founders of a previous East African-focused successful independent, Cove Energy, now owned by Thailand’s PTTEP.

Launched in March 2013, Discover Exploration has declared its entry offshore northern Mozambique into territory close to giant gas finds made in offshore areas 1 and 4, where it has been granted a Production Sharing Contract (PSC) for Blocks 35, 36 and 37 (previously known simply as A, B and C).

Discover Exploration has a 60% stake in the PSC, with Bahari Resources Limited holding 40%. The new entrant says the acreage is on trend with, and near to the Rovuma Delta gas discoveries in offshore areas 1 and 4, where in-place reserves discovered by Anadarko and Eni have been put at up to 175 Tcf and which are under development.

Privately-owned Bahari will operate the PSC, and says existing 2-D seismic data indicates the possible extension of the Rovuma Basin floor fans into what it calls the Exploration Production Sharing Agreement (EPSA) area. Seismic data acquisition over the area is due to start in the current quarter, Bahari adds.

“We believe that the Comoros could represent a highly prospective offshore frontier for oil and gas, given its proximity and geological similarity to the vast resources discovered in the nearby proven and prolific Rovuma Basin. With final approvals now in place, we are looking forward to an expedited exploration program to unlock the potential of the Comorian part of this exciting petroleum province,” said Peter Wakeling, managing director of Bahari.

Together the two companies have been granted a 4-year exploration period, with initial work to comprise a phased seismic and exploration drilling program and a regional study of the whole Comorian territory on behalf of the government. The territory lies in the western part of the Exclusive Economic Zone of the Comoros, located in the Mozambique Channel between the Comoros Islands and offshore areas 1 and 4. In total the acreage encompasses 18,000 sq km (6,950 sq miles).

Discover’s management team were originally involved in those discoveries through previous involvement in Cove Energy: Cove was taken over by PTTEP in August 2012 for US $1.9 billion after a hard-fought buyout battle with Shell. It was formed with US $1.6 million (£1 million) and in September 2009 acquired assets from the Artumas Group – now Wentworth Resources – which included 8.5% in Mozambique’s Rovuma Offshore Area 1 and 10% in a Rovuma onshore block – both operated by Anadarko – and a further 16.39% stake in producing assets and 20.47% in exploration acreage in the Mnazi Bay area offshore Tanzania.

In December last year the Discover team, which includes John Craven as chief executive and Michael Blaha, chairman (both founders of Cove), gained £200 million of investment backing from the Carlyle Group. Discover has said the Carlyle money is to be used to fund a two-well deepwater drilling programme on permits in the Canterbury and Taranaki Basins offshore New Zealand – operated by Anadarko – and for exploration off the Comoros Islands.